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Alibaba's Jack Ma increasingly goes after the same market as Amazon. (Mark Lennihan / AP)

China's massive churn of raw data and determination to own the technologies of the future put it in a head-to-head race with the United States for dominance in artificial intelligence, according to a new paper co-authored by Kai-fu Lee, China's most prominent VC and the former head of Google China.

Why it matters: AI is widely expected to be the next broad technological advance that revolutionizes global business and whole economies. If Lee is right, China's advantages give it a strong chance to win the economic and geopolitical muscle that will accrue to whoever grabs the lead in AI research and applications. "A very good scientist with a ton of data will beat a super scientist with a small amount of data," Lee wrote, along with Eurasiagroup's Paul Triolo. "This is not always well understood, but it is critical to determining which companies–and countries–will take the global lead in AI development."

Here are key takeaways from the paper:

  • China's No. 1 advantage is its huge data sets and flexibility to use them in AI applications: Chinese use phones to pay for goods 50X more than Americans; they use them for food delivery 10X more than the US; and shared bicycles 300X more. All of that churns out data. "This single advantage will be insurmountable by other countries," the paper says.
  • Another advantage: China puts up few bureaucratic roadblocks, such as local and federal governments that sometimes embroil tech issues in "endless debates," and labor attempting to delay projects such as autonomous trucks.
  • Chinese self-driving tech is two years behind the US, but its companies will later at least co-lead in autonomous vehicles, in addition to optics and "Internet AI," business built around the amassing of data.
  • Beijing will become a co-leader with Silicon Valley as an AI innovation center.
  • China's Alibaba will hold its own against Amazon, and Tencent will "lead Facebook." Baidu will continue to lag Google in AI.

Go deeper

Updated 28 mins ago - Politics & Policy

Congressional leaders clinch support for crucial defense bill, debt limit votes

Senate Majority Leader Chuck Schumer passes waiting reporters on Tuesday. Photo: Eric Lee/Bloomberg via Getty Images

Congress has found a shortcut to pass its annual defense funding bill and raise the debt limit.

Driving the news: The House voted Tuesday night on two major bills — one creating a one-time, fast-track process for the Senate to raise the debt ceiling with just 51 votes, and another passing its annual defense bill.

House passes annual defense bill

Speaker of the House Nancy Pelosi. Photo: Chip Somodevilla/Getty Images

The House voted to pass the annual defense bill 363-70 on Tuesday night, authorizing nearly $770 billion in funding for defenses and national security programs.

Why it matters: The National Defense Authorization Act (NDAA) still has to clear the Senate, but the House passage greatly increases the chances that the must-pass defense bill will move through both chambers of Congress before the end of the year.

Women politicians are under siege

Photo illustration: Sarah Grillo/Axios. Photos: Kevin Dietsch, Stefani Reynolds, and Alex Wong/Getty Images

Women in Congress feel besieged and singled-out amid surging threats against lawmakers at all levels, with some frustrated more hasn't been done to halt the trend.

Why it matters: As record numbers of American women are being elected to public office, their growing political power is being met with death and rape threats, sexist and racist abuse and online disinformation. Collectively, it's discouraged women from running for office.

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